DESALINATION A SUSTAINABLE SOLUTION FOR WATER SUPPLY IN ARID AREAS

Lisbon, 13-14 March 2018

Mr Khalid TAHRI Technical & Engineering Director Outline

• Introduction • Water strategy in • ONEE, Moroccan Public Operator overview • Desalination, a solution for water supply • PPP: Agadir Case • Conclusion Morocco, in brief • Position: North Africa, 14 km from Europe 2 • Area: 710 850 km (capital) • Population: 35 millions • Climate: Mediterranean • Parliamentary, democratic and social constitutional monarchy

• GDP : 2000 Euro/capita Casablanca • Growth: 3-4 % per year

Marrakech Fez Tangier Morocco, Main Plans

INDH Social Energy development Agriculture Solar Plan, Wind Plan Maroc vert Plan

Infrastructures ports, airports, Industry Emergence Plan highways, HST

Fishing Housing main vector for Sustainable Cities Halieutis Plan Sustainable development Environment Tourism Environmental Azur Plan Charter Water Strategy ENERGY IN MOROCCO

An important dependency to thermal energy of which 95% imported.

Energy bill is a real burden for the national economy

Energy allocation 2010 Energy allocation 2020 6000 MW 14000 MW 2% 28% 30% 68% 58% 14%

Thermal energy Hydraulic energy Renewable energy Thermal energy Hydraulic energy Renewable energy REGULATION: Water Law

Institutional .Institutionalization of the Supreme Council for Water and Climate .Creation of river-basins agencies throughout the national territory .Creation of provincial and prefectural committees of the Water Planning .National Plan for Water .Plan on Integrated Management of Water Resources at the regional level Protection: .Quantity: perimeter of protection and prohibition of groundwater .Quality: protection against pollution Financial: .Introduction of the principle sampler-pays and polluter-pays Climate and water resources rainfall Mediterranean sea Water resources in m3/inhabitant/year

6000

5000

4000

Atlantic 3000

ocean 2000

1000

0 GREECE TURKEY FRANCE SPAIN MOROCCO

Potential of natural water Resources 22 Billion CM/Year

18 Billion CM/Year 4 Billion CM/Year Surface water Groundwater Water resources regarding offer

3000 Water resources per capita

2500

2000 Hydraulic 1500 stress

1000

500

0 1960 2008 2020 Water resources regarding demand

Irrigation (90%)

Drinking Water (8%)

Others (2%) Mobilization of conventional water

• 140 large dams with a total capacity of nearly 18 billion CM • Thousands of boreholes and wells • 13 systems of water transfer: 1100 km and 210 m3/s Mobilization of non conventional water

• Desalination program

• Wastewater treatment and re- use program

• Rainfall capture ONEE, a Public Operator at National level A strategy based on 4 axis

Perpetuating, Improving Generalizing Developing securing and technical potable water sewerage reinforcing performances. access to rural systems for exiting areas. communities. installations.

11 ONEE: Global Indicators – Water Branch

Indicators Unit Till 2017 Urban Investments 1999 – 2017 Billions € 2,5 Installed capacity m3/s 71 Production Millions m3 1.137 Length of production pipes Km 11.000 Length of distribution network Km 41.500 Access rate % 97,1 Rural Investments 1999 – 2017 Billions € 1,2 Access rate % 96,6 beneficiary population Millions inhabitants ≈ 13,3 Number of localities U 431

2,5% of produced water come from desalination

12 Development Program 2017 - 2021

Investment 2017- 2021 2,5 billions €

Urban water supply 1,6 billions €

Rural water supply 0,4 billions €

Sewerage systems 0,5 billions €

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Projects in prospects: 2018-2020

Treatment plants under construction: 21 projects- 9 m3/s 45 projects of which 20 under design Conventional treatment Marrakech 2500 l/s

Fès – Meknès 2000 l/s Berkane 130 l/s Taounate 100 l/s Desalination Beni Mellal Al Hoceima 190 l/s 300 l/s Specific treatment Ben Guerir Agadir Zagora 100 l/s 1740 l/s 56 l/s El Kelaa Khouribga 60 l/s 100 l/s 1600 l/s Ouarzazate Tarfaya Dakhla 250 l/s 15 l/s 100 l/s Essaouira Laâyoune 250 l/s 300 l/s Agadir 400 l/s

Taroudante 200 l/s Tiznit 145 l/s Imin Tanout – Chichaoua 300 l/s 14

Performance report: projects commissioned in 2017 Potable water Reinforcement of Rabat-Casablanca zone From Sidi Mohamed Ben Abdellah dam

• Treatment plant 5 m3/s, 18 Mw raw water pumping station, 80 km of pipes, HV electrical lines. • Cost : 200 Millions €

15 Desalination Know- How advancement -Khenifra- Khouribga-Tan Tan- Laayoune-Boujdour Dakhla- Al Hoceima

Mastering Beyond 2010 Tarfaya--Boujdour Optimization Large Scale units 1995-2010 Generalization to Energy recovery other regions Testing Materials Intakes 1975-1995 Membrane Environmental aspects ED-MCV-RO Automatism South regions

40 years experience

Projects in progress

Potable water reinforcement of Zagora city Potable water reinforcement of Laayoune city by brackish water desalination by seawater desalination

Capacity : 6 000 m3/d Capacity : 26 000 m3/d Cost : 8 Millions € Cost : 35 Millions € Progress rate : 65 % Progress rate : 35 % Commissioning date : July 2018 Commissioning date : December 2018

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PPP Project Potable water reinforcement of Agadir by seawater desalination Duration 30 years . Shared project including irrigation needs for a total capacity of 400.000 m3/d at term. . A Capacity of 150.000 m3/d expandable to 200.000 m3/d for potable water needs. . Open intake . Cost : 150 Millions €. . Preparations for starting works under progress. . Works commissioning date: 2020

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Sharing roles

Under Moroccan law 54-05 related to delegation of public services

1st BOT CONTRACT: Public Party June 29th 2017 Private Party

• Feasibility studies • Submit offer • To Mobilaze land and • Negotiating infrastructures: • Partnership for a long • Sign Contract adduction pipes and term. • Financing Energy • Share responsibilities • Design • Biding and risks • Built • negotiating • O&M • Sign Contract • reporting • Off taker • Sell drinking water • Contract monitoring: • Make a profit performance indicators • Transfer • Public Service

Institutional Scheme

EPC Contract SEDA Financial Société d’Eau Contract O&M dessalée d’Agadir contract

BOT Insurances Contrat

Consultants Guarantees Some details about the BOT contract

2017 2018 2019 … 2049

Contract effective Construction: 24 months O&M : 30 years Prerequisites to be satisfied

Remuneration structure: Financial instruments and 4 Components : guarantees : 1.Fixed Remuneration of • Mortgage of the ground investment • State’s letter of support 2.Fixed Remuneration of O&M • Tripartite Agreement 3.Variable Remuneration of O&M • Transfer of debts 4.Remuneration of Renewal

Key of success

To launch economic studies for the opportunity of BOT project To built a strong and sustainable PPP Contract because of the long term of the Partnership International consultancy have a supportive role to play in the 3 aspects: Technical- financial and legal, closely with authority for the main mile stones of the project : biding- negotiating- Construction – commissioning Good allocation of risks between 2 parties: regulatory - Design- O&M- respect of calendar– budget- environment- performance indicators… with appropriate risk mitigation : subject of long negotiations Secure payment by public party to the private party for the provision of service and use of assets Assets reverting to public party ownership at the end of the contract must be in a good manner Capacity building and exchange experiences with international community is the school of a strength PPP

Strategy Regulation

Desalination Natural/ in arid area Know-how human enhancement Resources A solution for planning WS

Solutions PPP [email protected] www.onee.ma

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